Gramercy CRA 03

The site of the old Rite Aid location on Monroe Boulevard and 24th Street on Wednesday, March 6, 2019. Ogden City is looking at this area to establish a tax-incentivized redevelopment district called the Gramercy Community Reinvestment Area.

OGDEN — Ogden City is soliciting bids for the demolition of an east-central neighborhood property they’ve been trying to redevelop for several years.

Brandon Cooper, Ogden’s Deputy Director of Community and Economic Development, said the city is accepting bids to tear down the old Rite Aid building near the corner of Monroe Boulevard and 24th Street.

Known in city circles as the “Rite Ade” block, the area has been a target for Ogden City for years.

Earlier this year, the Ogden City Council approved a resolution that designates a survey area for the one-block piece of land between Monroe and Quincy avenues from 24th Street to 25th Street.

Designating the survey area is the first step in creating a Community Reinvestment Area on the block, which called the Gramercy CRA. CRAs allow the tax valuation for all properties inside a designated area to be diverted for a certain amount of time (or up to a certain dollar threshold) while future property tax increases are funneled back into redevelopment projects there.

Known as Tax Increment Financing, the tool is often used by Ogden City as an incentive for developers to build.

Cooper said the city has already purchased most of the properties on the block, transactions that have taken place over past several years. There are currently 19 parcels on the block, providing $2.8 million in tax valuation.

In late 2015, the city started the process to establish a redevelopment district called the Oak Den Urban Renewal Area, which included the 10 acres being reviewed now. That would-be district featured a nine-block section of east-central Ogden that included 413 properties on 84 acres, stretching from 23rd to 26th streets between Madison and Jackson avenues.

The initiative was abandoned in 2016 after residents in the Oak Den area aligned with Virginia-based public interest law firm, Institute for Justice, to fight a stipulation in the measure that allowed for the use of eminent domain. The city does not plan to use eminent domain with any future work associated with the block.

Cooper said bidding on the Rite Aid demo would likely begin this week and the city hopes the work will begin sometime in December.

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